State-owned Oil & Natural Gas Corp. has let a contract for combined subsea work on its KG-DWN-98/2 (“Cluster-2”) deepwater development off eastern India to a consortium of Baker Hughes, a GE company, McDermott International Inc., and L&T Hydrocarbon Engineering, a subsidiary of Larsen & Toubro.
With an awarded cost of $1.69445 billion, the package includes the supply of all subsea production systems (SPS), including 34 deepwater trees, and the installation of subsea umbilicals, risers, and flowlines (SURF) in 984-10,500 ft of water in the Krishna-Godavari basin.
Baker Hughes will provide the subsea hardware and precommissioning services. McDermott will provide pipeline and construction vessels and engineering, procurement, construction, and installation services. L&T Hydrocarbon Engineering will coordinate local work and services.
ONGC said integrating the subsea work “will help to eliminate major interface issues among SPS and SURF packages, resulting in time and cost optimization to the company.”
Peak production rates are estimated at 16 million standard cu m/day of natural gas and 80,000 b/d of oil.
ONGC began drilling in April. It expects gas production to start by December 2019 and oil production to begin by March 2021 (OGJ Online, Apr. 9, 2018).
